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Other Than Brokered Cds Which Banks Pay Interest Only At Maturity?

yogooglethis
  |     |   32 posts since 2022

I know it has to be less than 12 month cd but can't get a stright anwser when i tried to chat with ally,marcus and others.Anybody know which of the big banks that do this or is this setting when you apply?

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Answers
enduser
  |     |   711 posts since 2015
I'm not sure that I fully understand your question since my personal experience has been the opposite of how you posted the question. All the brokered CD's that I ever had paid simple interest on a monthly basis so they posted the interest to another account of my choice and not to the CD itself.  CD compounding was not an option.

The default with most banks is to let the interest compound, to be withdrawn only when the CD matures.

I know for a fact that Ally gives you the option to have the interest post to another account or to let compound with the CD. I remember that Marcus, Cap1, PSECU, Newtek bank, Memory Bank, NASA CU, and most banks all posted the interest to the CD to compound instead of giving me the option to collect it on a monthly basis. 
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yogooglethis
  |     |   32 posts since 2022
thanks i called ally and they did confirm this.trying to postpone some 1099 interest income
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InterestYields
  |     |   76 posts since 2010
I'm trying to confirm this in writing at Ally & other banks:https://www.depositaccounts.com/community/ask/58837-taxable-interest-deferral-rates-declinecd-intere...
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w00d00w
  |     |   360 posts since 2012
earlier this year, JP Morgan Chase issued a lot of brokered CDs that were callable after 6 months and didn't pay interest out until maturity. so Chase Bank is where i'd start the search for a direct CD with the interest paid at maturity feature. if the bank is offering it on the brokered CD side of the business, perhaps it's also being offered on the direct CD side.

the only time this year i've noticed this "interest paid out at maturity" feature on the direct cd side was on a 6 month CD from a small credit union local to me
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Ltssharon
  |     |   471 posts since 2020
So do I understand that you only want to get money at the end of the year? Well that might help a person plan the timing of their income for tax or benefit purposes. I think you will only be earning ‘simple’ interest in that case, and if it lists an apy it will be the same as the simple.
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Ltssharon
  |     |   471 posts since 2020
Banks will say if their compounding periods are monthly, quarterly, semi annual, or annual. I prefer monthly
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jack12
  |     |   307 posts since 2021
I found out via trial & error that treasuries 1 year and under pay at maturity. Where 2 year & longer pay most of it every 6 months. 18 months ago I bought a 2 year and my next to last interest posts tuesday.
That is not exact but the bulk of it. I paid 99.9014 so just a tiny bit of deferred interest.
I stopped using banks over the last year. Closed a number of them. Still have 2 local credit unions and 2-3 far away. And Ally & Discover & All American. I have less than $50 at all of the above. (Usually $5 for credit unions and a penny at the bank accounts)
But at my age & health, I am trying to avoid using them going forward.
I have some health issues. And since I never graduated from college, my life expectancy is like 8 years less than someone who did. (Guy who was on Tucker last night said that)
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JPQ
  |     |   14 posts since 2022
Truist Bank, I believe pays 'all' the interest at the end of the CD term.
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Ltssharon
  |     |   471 posts since 2020
Wow, I shall try to find out their interest rates on cds, etc. Hard to get through, though. Thank you
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